D Question 4 Which of the following statements is correct in relation to long-run performance of IPOs? More than one of the other statements is correct in relation to long-run performance of IPOs. O The investment banking conflict hypothesis suggests that IPOs underperform in the long-run because investment bankers tend to underprice the issue to benefit themselves and their other clients. O None of the other statements is correct in relation to long-run performance of IPOS. O The long-run underperformance of IPOs might be explained by investment bankers withdrawing efforts that create the impression of excess supply of shares by the IPO company. The window of opportunity hypothesis suggests that companies tend to issue shares in hot markets which then lead to the long-run underperformance of IPOS. 2 pts D Question 5 2 pts Which of the following statements accurately describes characteristic(s) of simulation analysis as it is conducted with respect to project evaluation? Simulation analysis allows for only one variable to change at a time in order to find out the distribution of possible NPVs. Simulation analysis can be used to determine the probability that the project will result in negative NPV. O It is a technique that requires knowledge of the underlying distribution of the variables that contribute to the wealth impact of the project. O More than one of the other statements accurately describes characteristic(s) of simulation analysis as it is conducted with respect to project evaluation. O None of the other statements accurately describes characteristic(s) of simulation analysis as it is conducted with respect to project evaluation